Bradley, Christine and Jones, Kenneth D. (2007): Loss Sharing Rules for Bank Holding Companies: An Assessment of the Federal Reserve's Source-of-Strength Policy and the FDIC's Cross Guarantee Authority. Published in: Financial Markets, Institutions & Instruments , Vol. 17, No. 4 (2008): pp. 249-286.
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In this article, we critically examine two policies designed to protect the deposit insurance funds—the Federal Reserve Board’s source-of-strength policy and the FDIC’s cross-guarantee authority. We discuss why each of the policies was adopted and how effective each has been in practice since its implementation. We then evaluate the future application and usefulness of the two policies in light of the structural changes that have resulted from industry consolidation and the financial modernization of the 1990s.
|Item Type:||MPRA Paper|
|Original Title:||Loss Sharing Rules for Bank Holding Companies: An Assessment of the Federal Reserve's Source-of-Strength Policy and the FDIC's Cross Guarantee Authority|
|Keywords:||source-of-strength; cross guarantees; bank closure policy; bank holding companies|
|Subjects:||G - Financial Economics > G2 - Financial Institutions and Services > G28 - Government Policy and Regulation|
|Depositing User:||Kenneth D. Jones|
|Date Deposited:||17. Mar 2009 04:56|
|Last Modified:||13. Feb 2013 10:01|
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